IPOs and Catalysts/Events, Global Equity Research Ltd

Arun George

Arun has over 15 years’ experience covering the Technology sector. During this time, he has worked with technology start-ups and as an equity analyst in investment banks and independent research firms. He was formerly a Technology Analyst for Canaccord Genuity, Altium Securities, Espirito Santo Investment Bank, Noble Group and Clear Capital. He has a dual Master’s degree in Financial Engineering and Industrial and Operations Engineering from the University of Michigan. He obtained his Bachelor’s degree in Mechanical Engineering from the Indian Institute of Technology, Bombay. He is also a CFA charterholder.

IPOs and Catalysts/Events

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Global Equity Research Ltd

Global Equity Research was started in 2017 by a group of experienced research professionals. It was founded on a passionate belief in the importance and the need for uncompromised, independent, conflict-free research. We aim to provide differentiated and actionable primary and bottom up fundamental research.

Equity Capital Markets

Leong Hup International / Equity Capital Markets

<p><a href="https://www.smartkarma.com/entities/27863" target="_blank" data-smartkarma-citation="entities:27863:1">Leong Hup International (LEHUP MK)</a> is one of the largest producers of poultry, eggs and livestock feeds in Southeast Asia. It has launched a downsized IPO to raise gross proceeds of RM275 million ($67 million). The IPO would be the biggest in Malaysia since <a href="https://www.smartkarma.com/entities/24159" target="_blank" data-smartkarma-citation="entities:24159:1">Lotte Chemical Titan Holding (TTNP MK)</a> listed in July 2017.</p><div class="content-highlight"><p>In our <a href="https://www.smartkarma.com/insights/leong-hup-ipo-preview-a-game-of-chicken" target="_blank">IPO initiation note</a>, we noted that Leong Hup’s ability to command a premium rating of around 20x P/E faces challenges. In the event, Leong Hup has pared back its ambition and launched its IPO at a rating of 15x FY18 P/E, according to press reports. We believe Leong Hup’s fundamentals are mixed but would participate in the IPO due to the attractive valuation.</p></div>

Leong Hup International (LEHUP MK) is one of the largest producers of poultry, eggs and livestock feeds in Southeast Asia. It has launched a downsized IPO to raise gross proceeds of RM275 million ($67 million). The IPO would be the biggest in Malaysia since Lotte Chemical Titan Holding (TTNP MK) listed in July 2017.In our IPO initiation note, we noted that Leong Hup’s ability to command a premium rating of around 20x P/E faces challenges. In the event, Leong Hup has pared back its ambition and launched its IPO at a rating of 15x FY18 P/E, according to press reports. We believe Leong Hup’s fundamentals are mixed but would participate in the IPO due to the attractive valuation.

Leong Hup IPO: A Finger Licking Good Price